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Faculty of Economics and Administration, University of Malaya, 50603 Kuala Lumpur, Malay- 5 sia
This study examines the extent to which existing foreign direct investment (FDI) theories apply to Chinese investment in the Belt and Road Initiative (BRI) countries. This is important because existing explanations of Chinese outward FDI (OFDI) generally make scant reference to these theories. By using OFDI data for BRI countries between 2003 and 2017, we tested hypothesizes applicable to existing theories by using both pooled ordinary least squares (PLOS) and stochastic frontier analysis (SFA) methods. The results show that a large part of the existing theories apply to Chinese OFDI. Chinese OFDI is likely to choose countries with big market size, abundant natural resources, cheap unskilled labor, stable politics, good infrastructure, high trade cost and high investment cost. These positive findings notwithstanding, they do not invalidate the alternative factors cited by commentators which have not been subject to direct testing, which may require the use of qualitative analytical approaches.
Le Chang; Jing Li; Kee-Cheok Cheong; Lim-Thye Goh. Can Existing Theories Explain China’s Outward Foreign Direct Investment in Belt and Road Countries. Sustainability 2021, 13, 1389 .
AMA StyleLe Chang, Jing Li, Kee-Cheok Cheong, Lim-Thye Goh. Can Existing Theories Explain China’s Outward Foreign Direct Investment in Belt and Road Countries. Sustainability. 2021; 13 (3):1389.
Chicago/Turabian StyleLe Chang; Jing Li; Kee-Cheok Cheong; Lim-Thye Goh. 2021. "Can Existing Theories Explain China’s Outward Foreign Direct Investment in Belt and Road Countries." Sustainability 13, no. 3: 1389.
Emile Kok-Kheng Yeoh; Le Chang; Yemo Zhang. China–Malaysia Trade, Investment, and Cooperation in the Contexts of China–ASEAN Integration and the 21st Century Maritime Silk Road Construction. The Chinese Economy 2018, 51, 298 -317.
AMA StyleEmile Kok-Kheng Yeoh, Le Chang, Yemo Zhang. China–Malaysia Trade, Investment, and Cooperation in the Contexts of China–ASEAN Integration and the 21st Century Maritime Silk Road Construction. The Chinese Economy. 2018; 51 (4):298-317.
Chicago/Turabian StyleEmile Kok-Kheng Yeoh; Le Chang; Yemo Zhang. 2018. "China–Malaysia Trade, Investment, and Cooperation in the Contexts of China–ASEAN Integration and the 21st Century Maritime Silk Road Construction." The Chinese Economy 51, no. 4: 298-317.